10 16 23 Work Session MinutesCity Council Work Session October 16, 2023
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City of New Hope
4401 Xylon Avenue North
New Hope, Minnesota 55428
City Council Minutes
Work Session Meeting
October 16, 2023
Northwood Conference Room
CALL TO ORDER The New Hope City Council met in work session pursuant to due call and notice thereof;
Mayor Hemken called the meeting to order at 6:30 p.m.
ROLL CALL Council present:
Kathi Hemken, Mayor
John Elder, Council Member
Andy Hoffe, Council Member
Michael Isenberg, Council Member
Jonathan London, Council Member
Staff present:
Reece Bertholf, City Manager
Jeff Alger, Community Development Specialist
Erin Enstad, Abdo
Valerie Leone, City Clerk
Susan Rader, Director of Parks & Recreation
Jeff Sargent, Director of Community Development
Mark Severson, Recreational Facilities Manager
Bernie Weber, Director of Public Works
Stacy Woods, City Attorney
Also present: Sarah Larson, Fire Chief
WMFRD UPDATE
Item 11.1
Mayor Hemken introduced for discussion item 11.1, Update from West Metro Fire‐
Rescue District.
Ms. Sarah Larson, fire chief of West Metro Fire‐Rescue District, provided a quarterly
update to Council on calls for service, public events, staffing, training, vehicles, and
fire prevention/community outreach programs.
Chief Larson thanked the Council for allowing the live fire training on October 7th in
New Hope which is a critical training component for fire fighters.
Council Member London mentioned the SAFER grant award and inquired how the
district will handle expenses for the three new positions after conclusion of the three‐
year grant funding period. He pointed out the potential to add $500,000 to the 2026
budget. He also inquired of the goal and noted the city survey shows 88% of the
community expressed satisfaction with the current fire protection.
Chief Larson stated the department’s goal is to assemble 15 firefighters on a team
within nine minutes per the National Fire Prevention Association standards. She stated
the Board guaranteed the positions for three years.
City Council Work Session October 16, 2023
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Council Member London recommended adding “fire response time” in the SMART
goals to track whether the additional staffing improves performance of the fire district.
Mr. Reece Bertholf, city manager, indicated the national benchmarks are achievable,
but they do carry a cost.
Council thanked Chief Larson for the update.
HRG PROGRAMS
AND RATES
Item 11.2
Mayor Hemken introduced for discussion item 11.2, Discussion regarding HRG
programs and recommended 2024 rates.
Mr. Tim Pratt, HRG Recycling Manager, stated customers are enjoying the interactive
tool that is available in various languages for recycling‐related questions. He stated
there is a phone app available also.
Mr. Pratt shared past performance issues of refuse haulers due to driver shortages and
noted improvements have been made during 2023.
Mr. Pratt reviewed the recycling program components (curbside recycling, education,
bulky waste curbside collection, organics drop‐off, special material drop‐off, yard
waste site, and event recycling). He indicated haulers must charge all customers for
organics recycling whether they use the service or not. He stated organics is the single
largest category in trash that could be recycled/composted. He reviewed the
participation levels in the curbside cleanup. He explained the HRG subsidizes rain
barrels and compost bins ($20 discount for HRG residents). The organics drop off
facility at Crystal Cove (Crystal Community Center parking lot) has 287 current users.
Mr. Pratt stated the spring and fall special materials drop‐off event continues to be
popular. The yard waste contract at Maple Grove was extended through 2027. Central
Park in Brooklyn Park is the pumpkin drop‐off site as well as the Maple Grove Yard
Waste site. Event recycling containers are available for loan. He reported the HRG
partnered with the county and a non‐profit company (Better Futures Minnesota) on a
building material drop off event which resulted in 87 participants donating many good
materials.
Mr. Pratt stated the current monthly recycling fee is $5.00, and the board recommended
a $.90 increase to offset the increased cost of the new recycling, yard waste, and
curbside cleanup contracts. He stated New Hope’s special bulky waste curbside clean‐
up is scheduled for the spring of 2024.
Council Member London inquired whether the HRG is still considering purchasing its
own containers. Mr. Pratt indicated the HRG extended the recycling contract with
Waste Management and has delayed the purchase of containers due to cost.
Council Member Elder inquired regarding recycling requirements. Mr. Pratt stated
residents are not forced to participate but they have to pay the recycling fee regardless.
He noted there is a 92% participation rate. He noted recycling provides environmental
benefits as well as economic benefits as recycling creates manufacturing jobs for
products created from recycled materials.
Council thanked Mr. Pratt for the update.
City Council Work Session October 16, 2023
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2024 ENTERPRISE
AND UTILITY FUND
BUDGETS AND
UTILITY RATES
Item 11.3
Mayor Hemken introduced for discussion item 11.3, Discussion regarding 2024
enterprise and utility fund budgets and 2024 utility rates.
Mr. Reece Bertholf, city manager, noted the city must be cognizant of utility funds to
cover future infrastructure improvement needs.
Ms. Erin Enstad, Abdo, stated the discussion at this time will focus on 2024 and the
long‐term plan will be reviewed at the November work session.
Mr. Bernie Weber, public works director, and Ms. Erin Enstad of Abdo, reviewed the
utility budgets. Mr. Weber highlighted expenditures planned for each fund during the
2024 budget cycle.
Ms. Enstad recommended the following rate increases: 5% water, 4% storm water
drainage, 4% sewer, and 5% street lighting. Ms. Enstad explained the memorandum
regarding cash balances. She stated the increases are needed to support the city’s ten‐
year plan, utility replacement and aging infrastructure. She also stated the city must
keep pace with sewer charges from the Met Council and water purchase from the city
of Minneapolis.
Ms. Enstad stated the long term plan update will be presented at the November work
session.
Ms. Susan Rader, director of parks and recreation, and Mark Severson, recreation
facilities manager, reported on revenue and expenditures for 2024 for the golf course
and ice arena. Ms. Rader stated staff recommends minimal increases for golf course
greens fees and season passes, a $10/hour increase in the prime ice rental and $5/hour
increase in the non‐prime ice rental rates effective fall of 2024. Staff shared the capital
improvement plans for the city’s recreation facilities.
Discussion ensued regarding depreciation costs, long term capital needs and cash flow,
rate increase comparisons to other cities, and the potential of implementing a
convenience fee to credit card users.
Council thanked staff for the budget review.
ERP VENDOR
SELECTION
Item 11.4
Mayor Hemken introduced for discussion item 11.4, Update regarding the city’s
Enterprise Resource Planning (ERP) software and vendor selection.
Mr. Reece Bertholf, city manager, stated at the April 17, 2023, work session, staff
informed Council of LOGIS’ pricing and the city’s options regarding the enterprise
resource planning software. Council supported utilizing Abdo’s services to assist the
city in evaluating various ERPs. The software review included programs such as
accounts receivable, accounts payable, financial reporting as well as payroll, human
resources, special assessments, recreation, license/permits/inspections, and utility
billing. He explained that the city may be able to secure services that meet or exceed
LOGIS’ at a lower price and without a ten‐year commitment.
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Ms. Erin Enstad, Abdo, explained that RFPs were solicited that resulted in five
software proposals. She stated demonstrations were scheduled with two vendors,
BS&A and Tyler, and the recommendation is to enter into a contract with BS&A. She
reviewed costs for a five year term. Ms. Enstad stated BS&A’s software is cloud‐based,
will integrate all modules except RecTrac, and can convert the city’s existing data. She
also noted that BS&A has experience converting data from LOGIS.
Mr. Bertholf commented that changing ERP software will be a major undertaking but
the city will reap rewards in efficiencies and cost savings. It was noted that LOGIS was
originally formed around 1970 to provide RFP software and share costs with other
cities. Mr. Bertholf indicated LOGIS’ proposal for new software requires a significant
buy‐in cost and a ten‐year commitment.
Council Member Elder reported that the city of Robbinsdale utilizes BS&A software,
and the company has strong customer service.
Ms. Enstad reported the conversion is an 18‐month process. Council Member London
requested additional information. Ms. Enstad indicated she would forward the
software demonstration to Council.
Council directed staff to place the item on the October 23 council meeting agenda for
consideration of the contract approval.
CURBSIDE APPEAL
REIMBURSEMENT
PROGRAM
Item 11.5
Mayor Hemken introduced for discussion item 11.5, Update on Curbside Appeal
Reimbursement Program.
Mr. Jeff Alger, community development specialist, indicated the Curbside Appeal
Reimbursement Program launched on June 1, 2022, on a two‐year trial basis. The
program encourages homeowners to make improvements to the exterior of their
homes and garages in areas that are visible from the street. The program has been
successful having helped fund 20 projects valued at $201,181. Properties that are
eligible for the program include owner‐occupied one‐and two‐family homes that do
not have past due taxes, citations, or utility bills.
He reported the goal of the program was to fund projects that go above and beyond
general maintenance by adding curb appeal and value to the property. For these
reasons and out of fairness to those who have been denied requests to fund other types
of projects staff is not recommending any changes to the list of projects eligible for
reimbursement. The Council allocated $200,000 for the program and approximately
$50,000 has been committed to approved projects. He stated staff recommends
continuing the program until the $200,000 is exhausted.
Council discussed the possibility of expanding the program to get more participants.
Mr. Jeff Sargent, director of community development, indicated the program could be
modified in the future to include aesthetic improvements (such as converting from
asphalt to concrete driveways or changing siding to a more durable material). He
stated staff will continue to post the number of participants in the Friday memo.
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PERFORMANCE
MEASURES AND
SMART GOALS
Item 11.6
Mayor Hemken introduced for discussion item 11.6, Update on Performance
Measurement Report and SMART goals.
Mr. Jeff Alger, community development specialist, reviewed the 2023 Performance
Measurement Report and SMART goals document containing data from 2018‐2022. He
reported the SMART goals are generally on track. Mr. Alger stated information from
the 2022 professional community survey was included in the report.
Council Member London requested that fire response time be added to next year’s
report. He expressed disappointment that more cities don’t collect the data and
suggested that Council and staff promote the idea to other cities.
Discussion ensued regarding the use of the SMART goals. Mr. Bertholf noted directors
consult employees in the development of the goals. Mr. Bertholf asked Council to
inform him if there are other items that should be incorporated into the report.
Council accepted the report and complimented Mr. Alger for his work. They
authorized posting the document on the city’s website.
ECONOMIC
DEVELOPMENT
REPORT UPDATE
Item 11.7
Mayor Hemken introduced for discussion item 11.7, Update on Economic
Development Report.
Mr. Jeff Alger, community development specialist, stated the report was developed in
2016 and is updated annually. He stated the economic development report highlights
redevelopment projects throughout the city from the previous year and the tools that
are in place to promote development activity. He stated the city’s EDA promotes and
facilitates business development and housing redevelopment activities.
Mr. Alger noted the report was utilized in 2017 when bonds were issued for the new
police station/city hall construction project, in 2019 when bonds were issued for the
swimming pool complex, and in 2021 for refinancing of ice arena conservation bonds.
He reviewed the updates that were made to the 2023 report.
Council accepted the report and supported posting it on the city’s website.
Council Member Isenberg reported on the successful Windsor Ridge development and
the strong sense of community among the neighborhood.
TOBACCO LICENSES
Item 11.8
Mayor Hemken introduced for discussion item 11.8, Discussion regarding issuance of
tobacco licenses, city code chapter 8.
Mr. Reece Bertholf, city manager, reported that the item is on the agenda due to an
open forum appearance made at the October 9, 2023, Council Meeting.
Mr. Bertholf stated the tobacco license cap of 21 has been met, and staff recommends
improving tobacco license procedures by 1) re‐implementation of a wait list allowing
applicants to apply on a first‐come, first‐served basis; and 2) make license issuance
subject to approval of a “business use certificate of occupancy” (BUCO) registration.
He noted a valid BUCO registration would ensure tobacco licensees either own the
City Council Work Session October 16, 2023
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property or have permission to rent the space that is listed on the business license
application.
Council supported staff’s recommendations.
DISCUSS VACANT
PROPERTY
REGISTRATION
PROGRAM
Item 11.9
Mayor Hemken introduced for discussion item 11.9, Discuss possibility of
implementing a vacant property registration program.
Mr. Jeff Sargent, director of community development, stated at the October 9, 2023,
Council Meeting, Councilmember London requested to have a discussion regarding
how the city handles vacant properties and/or properties that have been under
construction for an extended period of time.
Mr. Sargent stated the city explored creating a vacant property registration program
ordinance in 2010 during the subprime mortgage crisis, with concerns primarily
focused on vacant single and two‐family homes facing foreclosure. The ordinance was
never adopted. He stated if the city implemented a vacant property registration
program now it would be to address compliance issues to ensure properties are
meeting minimum code requirements. He stated staff addresses code issues through
the administrative fines enforcement program.
Mr. Sargent indicated regarding construction projects, staff ensures that proper
permits are in place and new permits are required if the work is not completed within
one year and an extension is not granted by the building official. He indicated the
situation with the gas station at Bass Lake Road and Winnetka Avenue was unique in
that it changed ownership twice during the construction period.
Council Member London recommended tracking vacant commercial and residential
properties in the city to market to brokers.
Mr. Sargent indicated the city maintains a database of retail space which is updated on
a quarterly basis and posted on the city’s website. He noted realtors market the sale of
residential properties, and staff will continue to find properties for the scattered site
housing program.
ADJOURNMENT The meeting was adjourned at 8:35 p.m. as there was no further business to come
before the Council at its work session.
Respectfully submitted,
Valerie Leone, City Clerk